Northern Coalition, CSOs demand banks relocate Headquarters to Abuja, reject tax reform bill

By Abubakar Yunusa

The Coalition of Northern Groups (CNG) Gombe State Chapter, in collaboration with Civil Society Organizations (CSOs), has called for the relocation of all bank corporate headquarters to Abuja and the remittance of revenues directly to the Federal Government.

The recommendation was made during a town hall meeting themed “Tax Reform Bills: A Catalyst for Economic Growth or a Burden on the People?”

In a statement jointly signed by the Gombe State Coordinator of CNG, Comrade Muhammed Usman Deba; Voice for Rural Women Groups’ Comrade Habiba Isah Gaude; and Acting Chairman of CSOs, Comrade Lawal Idris Lawantee, the coalition emphasized Abuja’s neutrality as a peaceful, ethnically diverse federal capital.

“It is unjust for banks to situate their headquarters in certain states and allow those states to disproportionately benefit at the expense of contributions from other regions,” the statement read.

“The town hall recommends that all banks relocate their corporate headquarters to Abuja and remit their revenues directly to the Federal Government to ensure equitable distribution of benefits.”

The coalition also urged Northern governors, businesses, and organizations to prioritize financial dealings with banks that adhere to this recommendation.

The coalition decried the prolonged closure of Nigeria’s land borders, describing it as economically devastating for border communities. It urged the Federal Government to reopen borders immediately to alleviate economic hardship and stimulate trade.

On Value Added Tax (VAT), the coalition called for a reduction of the current rate to 3% instead of the proposed increase, arguing that such a move would relieve businesses and citizens while promoting economic growth.

Regarding telecommunications tariffs, the coalition vowed to resist any attempts by telecom companies to raise rates, emphasizing the critical role of affordable connectivity in Nigeria’s socio-economic development.

The coalition unanimously rejected the proposed tax reform bill, citing its lack of inclusivity and potential adverse effects on various regions and sectors. It demanded thorough consultations involving civil society organizations, educational institutions, and local governments before proceeding with any reforms.

“The tax reform bill contains ambiguous terms that need clarification,” the statement noted. “For instance, the term ‘derivation’ must be clearly defined to ensure equitable resource allocation, and the definition of ‘family wealth’ must be clarified to prevent undue taxation of family assets or inheritance.”

The coalition also opposed the proposed discontinuation of funding for institutions like TETFUND, NITDA, and NASENI, warning that such a move could undermine national development. Instead, it urged the Federal Government to strengthen these institutions and abandon plans for the proposed NELFund, which it described as a scheme that could burden future generations with unsustainable debt.